Transferring Employees from One Company to Another May Bust the Union, but Effects Bargaining Still Required
By Management Labor Lawyer | | NLRB
A company owned multiple car dealerships. One dealership employed six mechanics, all of whom belonged to a union. In 2009, the company shut down the “union dealership” and offered the six employees jobs at its “nonunion dealership.” Five of the mechanics took the job at the nonunion dealership. The five employees were no longer a…
Read More What are Runaway Shops?
By Management Labor Lawyer | | Uncategorized
Plant shutdowns and relocations for the sole purpose of avoiding unionization are called “runaway shops” by unions. As you can imagine, the National Labor Relations Board has developed specific remedies to penalize companies that engage in this tactic. The Board has ordered a runaway employer to offer its employees either: 1) payment of moving expenses…
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